HOA Blog - California
Our HOA Blog is added to several times each month so please visit it often. If you would like to respond to any blog, please contact us. Our HOA Articles are also added to and updated regularly.
Boards are required to take and maintain minutes of all board meetings. Failure to do so creates a significant liability for the association as well as the board. See: Boards Failure to Take and Maintain Minutes and Minutes of Board Meetings. Boards may also want to consider using HOA Recording Secretary Services which serves all of California.
Adding a washer and dryer to a condominium unit may have several negative ramifications including the following: (1) Since most condominium buildings are master metered for water, all other owners will be required to pay for the increased water usage by the unit with the washer; (2) The owner with the washer will not use any common area laundry facilities, thus reducing the laundry income to the association; (3) The chance of flooding will increase because most condominium building plumbing systems are not designed for the extra soap and water that will be flowing through the building’s plumbing system. The cost of damage is likely to be paid, at least in part by the HOA which means all owners will pay some of the costs; (4) Vibration of the machines are likely to create a nuisance; (5) Clogged dryer exhaust lines may create a fire hazard; and (6) The insurance premium for the association’s master policy may be increased thus affecting all owners.
Many homeowner associations are experiencing problems with certain tenants because the tenants are violating the association’s Operating Rules and/or CC&Rs. Violations affect the association, its members, including the landlord. Many violations by tenants result in fines being charged to the account of owners, but these fines don’t always eliminate the problems commonly caused by these renters.
If you rent your unit, it is important that you do the following: 1) Make certain your lease includes a provision making the tenants responsible for complying with the association’s Operating Rules and CC&Rs, 2) Attaching the Operating Rules and CC&Rs to any tenant lease so the tenants have actual knowledge of their obligations, 3) Checking with the landlord of any rental applicant to determine whether the applicant has previously caused any problems or has not paid their rent. This should not be the applicant’s current landlord. It should be the prior landlord, and 4) Strongly consider hiring a professional rental home management company.
While Coast Management of California does not offer rental home management services, we do have an affiliate that offers this service for a fixed fee of $150 per month. If you have a need, you may contact Pacific-Realtors.net for information.
Professional rental home property management companies benefit the property owner as well as the association and its individual members. All owners desire to live in a peaceful well-maintained community.
When board members pay vendors and contractors with their own funds and then seek reimbursement from the management company, it creates accounting and liability issues. Under these circumstances, the vendor or contractor rarely submits his or her proof of license, proof of insurance naming the association as additional insured, and a W-9 form so the association can report the amounts paid to the IRS and FTB. All payments to vendors and contractors should be made by the management company in order to assure legal compliance and to minimize the association’s exposure to liability. See: How Coast Management of California Processes Invoices.
Coast Management of California is growing . Therefore, we are in need of an additional assistant HOA portfolio manager. See: Assistant HOA Portfolio Manager Wanted.
The Open Meeting Act has been incorporated into the Davis-Stirling Act and applies to all homeowner associations in California. Under the act, all homeowners are entitled to attend and speak publicly at all board meets. Owners are entitled to receive notice at least four days in advance of board meetings stating the time and location of each meeting. They are also entitled to receive with the notice an agenda of matters to be discussed at each meeting. See: Board Meeting Definition and Who Can Attend Board Meetings.
Many board members make the error of utilizing their HOA manager as a construction manager when the manager may have no or limited experience in construction. If your board is in need of a construction manager, see: Why Hire a Construction Manager.
If you are a licensed insurance agent and would like to earn referral fees or commissions, please contact our affiliate, Independent Insurance Agents of California to learn about available opportunities.
HOAs must file state and federal tax returns every year even though they are usually non-profit mutual benefit corporations. For prompt service contact: NationwideAccounting.net.
Owners who have individual garages are reminded to keep their garage doors closed when possible to minimize the opportunity for criminal activity. In addition to theft, we have received reports of tracking devices being placed on vehicles without the owner’s knowledge or consent.
Coast Management of California
818-991-1500